North Carolina Down Payment Support Programs

Payments Gateway - These programs will be the Down Payment Assistance System as well as the Mortgage Credit Certificate.

You buy a house between December 1, 2009 and January 1, 2009 and should you qualify for one of these plans, you could also qualify for the $8,000 tax credit only enacted into law in the Federal Economic Stimulus Plan.

First, who is a first-time Home Buyer? There is a First Time Home Buyer someone who hasn't owned a house in the prior three years. That is exactly the same qualifying definition.

What's a Mortgage Credit Certificate and Who Qualifies?

A Mortgage Credit Certificate (MCC) is a federal tax credit to help home buyers with low and moderate incomes. All home owners can claim an itemized deduction.

Should you are eligible for the MCC, you are able to claim 20% of the interest you pay as a credit on your own federal income taxes on your own mortgage. It's possible for you to save up to .

If you do qualify for the MCC, for 2009, you may find a way to unite this. This could reduce a buyer's tax liability .

Household income is defined as the “gross income of the mortgagor and any other person anticipated to live in the dwelling who's 18 years of age or older.”

The income and house price limits that apply in Durham, Orange and Chatham Counties are given below.

MCC Income Limitations 1 Man $61,500 2 Men $61,500 3 Men $70,500 4 Individuals $70,500

MCC Sales Cost Limits New Dwelling $220,000 Existing Residence $210,000

Who Qualifies for Down Payment Help?

Home buyers that need help with their down payment and closing costs might be able to get down payment assistance - or, to put it differently, interest-free, deferred second mortgages up to $8,000. The purchaser just needs to pay and the load would pay up to $8,000 of the remaining balance.

This program has more rigorous income limitations than the MCC program outlined above. Like the MCC application, it may be used in conjunction with all the new $8,000 tax credit on house purchases between January 1, 2009 and December 1, 2009. The deposit help, nevertheless, can't be utilized along with the MCC. This is an either or situation.

The income and house price limits that apply in Durham Orange and Chatham Counties are listed below.

Down Payment Assistance Income Limitations

1 Person $39,950 2 Persons $45,650 3 Individuals $51,350 4 Persons $57,050

Down Payment Support Sales Price Limits New Home $210,000 Existing House $210,000